Vietnam Auto Finance Market Outlook to 2026F– Driven by Digital Penetration and Dominance of Banks along with a Shift in Consumer Preference form 2W to 4W

Vietnam Auto Finance Market Outlook to 2026F– Driven by Digital Penetration and Dominance of Banks along with a Shift in Consumer Preference form 2W to 4W

The publication titled “Vietnam Auto Finance Market Outlook to 2026F– Driven by Digital Penetration and Dominance of Banks along with a Shift in Consumer Preference form 2W to 4W” by Ken Researchprovides a comprehensive analysis of the Auto Finance market of Vietnam. The report covers an overview and genesis of the industry, market size in terms of revenue generated, and market segmentation (by types of lenders, types of motor vehicles, type of vehicle financing, by tenure, type of passenger vehicle, type of commercial vehicle, and type of lending banks); trends and developments, technological advancements, government regulations, issues, and challenges. The report finally concludes with a competitive landscape including the competition scenario of major players in the Auto Finance market, future market projections of each product segmentation, and analyst recommendations.

Vietnam Auto Finance Market Overview: Vietnam’s Cold Chain market was evaluated to grow at a double-digit CAGR during 2016-2021. The market is currently in the growth stage owing to lower interest rates along with increasing government initiatives and investments in the sector.The Pandemic has resulted in the slow growth of Auto Finance where Vietnamese preferred to own a private vehicle to avoid public transportation. The growing penetration of the internet and smartphones and the rising purchasing power of the middle class resulted in changing preferences of consumers which are some of the key factors fueling the Auto Finance Market in Vietnam.

Vietnam Auto Finance Market Segmentations:

Type of Vehicle Financed: The new vehicle usually has longer loan tenure as compared to the old vehicles. Government initiatives to support the growth of the domestic automotive industry, and policies implemented such as a reduction in import tax to 0% for cars imported from the ASEAN region have also given a push to the market.

By Tenure of New and Old Vehicles: People in Vietnam switch their cars every 4-5 years and hence, the majority of auto loans are taken for a duration of more than 3 years. Also, a longer repayment tenure allows taking a higher loan amount based on the debt-to-income ratio.

By Type of Motor Vehicle: Middle-class customers are spending more on automobiles preferring to own a private vehicle. Additionally, the Vietnamese government is surging to accommodate the influx of cars in the country.

By Type of Passenger Vehicle: Poor public transportation development has driven up the use of personal vehicles in Vietnam as a whole and in its major cities. The government of Vietnam has decided to ban 2W/ motorcycles by 2030 to ease traffic congestion, save travel time, etc.

By Type of Commercial Vehicle: With the advent of Covid-19, Vietnamese preferred owning a private vehicle, especially an LCV due to personal choice along with the long servicing life and fuel efficiency of the vehicle.

By Type of Lenders: Banks hold the majority of auto financing, however, there is a recent trend towards non-banking financial institutions in Vietnam such as FE Credit, Home Credit, HD Saison, etc.

By Type of Lending Banks: Private lenders take a more customizable and tailored approach to lending which makes it convenient compared to the lending issued by the government where interest is tax-deductible, no prepayment penalties, and more.

Competitive Landscape in Vietnam Auto Finance Market: New players such as Fin-tech companies are entering the market as the studies have shown. The number of private entities in the Vietnam Auto Finance market is increasing. Companies are striving to adopt higher technological advancements to improve operational profits along with a rich customer experience. Competition is increasing among banks, NBFCs, and captives which forced banks to rethink their lending strategy in order to maintain their high market share. The major players in the auto loan market include Bank for Investment & Development, Vietcom Bank, and Sacom Bank.

Vietnam Auto Finance Market Future Outlook and Projections: Digitalization in Vietnam is anticipated to rise in the future which will lead to an increase in the Auto Finance market with multiple offline and e-platform players entering the market. A similar trend where post the pandemic, Vietnamese have been preferring to own a private vehicle to avoid public transportation is anticipated to occur. The accessibility to finance is expected to grow with an increase in the number of multi-finance companies. Also, Consumer preferences are more likely to shift to purchasing new vehicles with growing disposable income and status.

Key Segments Covered

Vietnam Auto Finance:

By Type of Vehicle financed

New

Used

By Tenure:

1 year

2 years

3 years and more

By Type of Motor Vehicle:

Commercial

Passenger

By type of commercial motor Vehicle:

LMV

MCV

HCV

By Type of passenger motor vehicle

2W

3W

4W

By Type of Lender:

Banks

OEMs/Captives

NBFC

By Type of Lending Bank:

Government

Private

Key Target Audience

Vietnam Auto Industries

Government Bodies & Regulating Authorities

Financial Institutions

Manufacturing Companies

Automobile Distributors

Automobile Dealers and Associations

Investors & Venture Capital Firms

Time Period Captured in the Report:

Historical Year: 2016-2021

Base Year: 2021

Forecast Period: 2022F– 2026F

Major Banks:

Bank for Investment & Development

Vietcom Bank

Sacom Bank

Techcom Bank

Shinhan Bank

Vietnam International Commercial Joint Stock Bank

Vietin Bank

Tien Phong Bank

Woori Bank

Key Topics Covered in the Report

Vietnam Automotive Industry Overview,2021

Vietnam Passenger and Commercial Car Sales, 2021

Vietnam’s Online Auto Finance Market Ecosystem

Business Cycle, Genesis, and Timeline of Vietnam Online Auto Finance Market

Vietnam Auto Finance Value Chain Analysis

Vietnam Auto Finance Market Size, 2021

Vietnam Auto Finance Market Segmentation (by Type of Vehicle Financed, by Type of Motor Vehicle, by Type of Passenger Vehicle, by Type of Commercial Vehicle, by Type of Lenders, by Type of Lending Banks, by Tenure of New and Old Vehicles), 2021

SWOT Analysis of Vietnam Auto Finance Market

Government Regulations of Vietnam Auto Finance Market

Trends and Developments of Vietnam Auto Finance Market

Decision Making Parameter for Selecting Car Loan Vendor

Advantages of Financing from Banks vs Auto Dealers in Vietnam

Issues and Challenges in Vietnam Auto Finance Market

Customer Analysis of Auto Finance Market in Vietnam

Competition Overview of Auto Finance Market in Vietnam

Future Outlook and Projections of Auto Finance Market in Vietnam, 2021-2026F

Impact of COVID-19 on Auto Finance Market in Vietnam

Analyst Recommendations for Online Auto- Finance Market in Vietnam

Please Note:It will take 5-7 business days to complete the report upon order confirmation.


1. Executive Summary
1.1 How is Auto- Finance Market positioned in Vietnam?
2. Country Overview
2.1 Vietnam Country Profile (Overview, Major Cities, GDP and Inflation Rate, Percentage of GDP Composition by Sector, Trade Scenario,)
2.2 Vietnam Population Analysis (Population by Gender, by Age Group, by Religion, by Religion, Demographics of Vietnam)
2.3 Vietnam Internet and Broadband Infrastructure
2.4 Vietnam Internet Usage Trends
3. Overview of Automotive Industry in Vietnam
3.1 Vietnam Automotive Industry Overview
3.2 Vietnam Passenger and Commercial Car Sales, 2021
3.3 Passenger Car Landscape in Vietnam
3.4 Vietnam Passenger Car Sales by Different Brands
3.5 Import and Export of Passenger Cars in Vietnam
3.6 Passenger Car Pricing in Vietnam Automotive Market
3.7 Vietnam Automotive OEM Plants
4. Overview and Genesis of Auto Finance Market in Vietnam
4.1 Ecosystem of Vietnam Online Auto Finance Market
4.2 Business Cycle of Vietnam Online Auto Finance Market
4.3 Passenger Car Landscape in Vietnam
4.4 Timeline of Major Players of Auto Finance Market in Vietnam
4.5 Vietnam Auto Finance Value Chain Analysis
4.6 Vietnam Auto Finance Market Size, 2016- 2021
5. Market Segmentation of Auto Finance Market in Vietnam, 2021
5.1 Vietnam Auto Finance Market Segmentation by Type of Vehicle Financed (New Vehicle and Old vehicle), 2021
5.2 Vietnam Auto Finance Market Segmentation by Tenure of New and Used Vehicles (1 year, 2 years, 3 years and more), 2021
5.3 Vietnam Auto Finance Market Segmentation by Type of Motor Vehicle (Passenger and Commercial Vehicle), 2021
5.4 Vietnam Auto Finance Market Segmentation by Type of Passenger Vehicle (2W, 3W, 4W), 2021
5.5 Vietnam Auto Finance Market Segmentation by Type of Commercial Vehicle (LCV, MCV, HCV), 2021
5.6 Vietnam Auto Finance Market Segmentation by Type of Lenders (Banks, NBFC’s, OEMs), 2021
5.7 Vietnam Auto Finance Market Segmentation by Type of Lending Banks (Private and Government), 2021
6. Industrial Analysis of Auto Finance Market in Vietnam
6.1 SWOT Analysis of Vietnam Auto Finance Market
6.2 Government Regulations of Vietnam Auto Finance Market
6.3 Trends and Developments of Vietnam Auto Finance Market
6.4 Decision Making Parameter for Selecting Car Loan Vendor
6.5 Advantages of Financing from Banks vs Auto Dealers in Vietnam
6.6 Issues and Challenges in Vietnam Auto Finance Market
7. Customer Analysis of Auto Finance Market in Vietnam
7.1 Car Ownership and Preferences in Vietnam
7.2 Customer Pain Points in Vietnam Auto Finance Industry
8. Competition Overview of Auto Finance Market in Vietnam
8.1 Vietnam Auto Finance Market Competition Overview
8.2 Cross Comparison of Major Banks in Vietnam Auto Finance Market (Year of Establishment, Loan Amount, tenure, Interest Rate, NPL’s, Interest Income (from loans))
9. Future Outlook and Projections of Auto Finance Market in Vietnam, 2021-2026F
9.1 Future Market Sizing Analysis of Vietnam Auto Finance Market, 2021- 2026F
9.2 Vietnam Auto Finance Market Segmentation by Type of Vehicle Financed (New Vehicle and Old vehicle), 2026F
9.3 Vietnam Auto Finance Market Segmentation by Tenure of New and Used Vehicles (1 year, 2 years, 3 years and more), 2026F
9.4 Vietnam Auto Finance Market Segmentation by Type of Motor Vehicle (Passenger and Commercial Vehicle), 2026F
9.5 Vietnam Auto Finance Market Segmentation by Type of Passenger Vehicle (2W, 3W, 4W), 2026F
9.6 Vietnam Auto Finance Market Segmentation by Type of Commercial Vehicle (LCV, MCV, HCV), 2026F
9.7 Vietnam Auto Finance Market Segmentation by Type of Lenders (Banks, NBFC’s, OEMs), 2026F
9.8 Vietnam Auto Finance Market Segmentation by Type of Lending Banks (Private and Government), 2026F
10. Impact of COVID-19 on Auto Finance Market in Vietnam
10.1 Impact of Covid-19 on Auto Finance Market in Vietnam
10.2 Post Covid-19 of Vietnam Automobile Market
10.3 Ways Auto Financiers can navigate the Covid-19 Crisis
11. Analyst Recommendations for Online Auto- Finance Market in Vietnam
11.1 Best Practices for Building a Successful Chain of Auto Finance Practices
11.2 Growth Strategies for Vietnam Auto Finance Market
11.3 Operational Strategies for Vietnam Auto Finance Services Market
11.4 Auto Finance- The Way Forward
12. Research Methodology
12.1 Market Definitions
12.2 Abbreviations Used
12.3 Market Sizing Approach
12.4 Consolidated Research Approach
12.5 Sample Size Inclusion
12.6 Research Limitations and Future Conclusion
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